Bank of America Corp.
Bank of America is the second-largest bank in the US (behind Citigroup). It has the country's most extensive branch network though, being located in 30 states. In 2004, Bank of America purchased FleetBoston for $50 billion and in 2006, credit card giant MBNA. Profile, Hoovers, accessed July 2007. Bank of America announces new coal policy In December 2008, Bank of America announced a new investment policy to "ensure that Bank of America plays a significant role as a leading financial services company in promoting the responsible use of coal... We will support, adopt, and adhere to leading practices for managing the environmental impacts associated with coal."Bank of America Coal Policy, Bank of America, accessed December 2008. The bank’s new policy supports technologies such as carbon capture and storage (CCS) and seeks to promote the development and implementation of CCS technologies to reduce CO2 emissions. The policy also includes a phase out of financing for "companies whose predominant method of extracting coal is through mountain top removal." Bank of America currently provides financing to of the nation’s top mountaintop removal coal-mining operators, which together produce more than 250 million tons of coal each year."Bank of America Decision to Stop Funding Mountaintop Removal a Victory for Appalachia and Anti-Coal Movement," Rainforest Action Network, December 3, 2008. Environmental groups praised the decision to phase out MTR financing as a big step forward but criticized the Bank's commitment to CCS technologies. Rainforest Action Network commented that "CCS is not yet close to being commercially viable and has pushed energy efficiency and renewable energy sources as far better investments." Coal investments In March 2007, Bank of America announced a $20 billion initiative "to support the growth of environmentally sustainable business activity to address global climate changes.""Bank of America Announces $20 Billion Environmental Initiative", PR Newswire, March 6, 2007. However, in actuality the bank is committing less than 2 percent of its assets to fighting global warming and continues to invest significantly in the coal industry, one of the leading causes of climate change.Global Finance, Rainforest Action Network, accessed July 2008. Bank of America is one of the largest investors in the coal sector and has lent billions of dollars to companies seeking to build new coal-fired power plants. The company's clients include the major players in the power and utility industry: American Electric Power, Dominion, Dynegy, Florida Power & Light, Great Plains Energy, Peabody Energy, Southern Company, and many others. In 2006 alone, Bank of America helped finance $6 billion for Peabody, the world's largest coal mining company and the sponsor of multiple new coal plant proposals in the United States."Banks, Climate Change, and the New Coal Rush", Rainforest Action Network, 2007. New coal plants being funded by Bank of America include: *Glades (FL) *Sutherland Generating Station Unit 4 (IA) *Prairie State Energy Campus (IL) *Thoroughbred Generating Station (KY) *Smith Station (KY) *Rodemacher Unit 3 (LA) *Mustang Energy Project (NM) *Nelson Dewey Generating Facility (WI) *Wygen Unit 3 (WY) Bank of America has also financed billions of dollars to companies that practice mountaintop removal coal mining, a technique that blasts off the tops of mountains to reach the underlying coal deposits. In 2005, Bank of America helped fund over $500 million for Alpha Natural Resources, which operates 27 surface mines in Kentucky, Pennsylvania, Virginia, and West Virginia. Arch Coal, which is the 2nd largest mining company in the nation and operates mines in Colorado, Kentucky, Virginia, West Virginia, and Wyoming, received a five-year, $700 million loan from Bank of America. In 2006, the bank also helped finance $175 million for Massey Energy, which is being sued by the EPA for violating the Clean Water Act over 4500 times and faces up to $2.4 billion in fines. Foundation Coal, the 4th largest coal mining company in the U.S., also received $835 million in financing from Bank of America in 2006. Protests against Bank of America coal financing February 5, 2009: Rising Tide Boston crashes Harvard lecture by Arch Coal CEO: Cambridge, MA Seven activists from Rising Tide Boston disrupted a lecture given by Arch Coal CEO Steve Leer at Harvard University. Leer was speaking about the future of "clean coal" technology. The activists interjected information on the impacts of coal extraction, including their final question, "What gives you the right to gamble the future of civilization on a magic technology that doesn’t exist?" While Leer tried to ignore the question, two members of Rising Tide carried a banner on stage that read "The coal bubble is bursting - Clean Coal is a Dirty Lie." The lecture was funded by Bank of America."Rising Tide Boston Crashes Talk by Arch Coal CEO," Power Past Coal, February 5, 2009. Aug. 13, 2007: Southeast Convergence for Climate Action occupation of Asheville Bank of America On August 13, 2007, 150 activists from Southeast Convergence for Climate Action occupied a Bank of America branch in Asheville, North Carolina. The protestors condemned Bank of America's ongoing funding of mountaintop removal mining in Appalachia. Two people locked themselves to the main lobby, while others blockaded the entrance to the branch, and delivered coal to the bank's managers. Five people were arrested.Protestors, Police Amass in Downtown Asheville, Mountain Xpress, August 13, 2007.Southeast Convergence for Climate Action Shuts Down Bank of America, Blue Ridge Earth First! website, August 14, 2007. August 31, 2007: Mountain Justice National Day of Action against Bank of America Mountain Justice called for a National Day of Action against Bank of America. Events took place in California, Massachusetts, Tennessee, Texas, Virginia. Activists in Knoxville, TN set up a table outside a Bank of America branch, where they held signs and gave information to Bank customers about the bank’s ties to the coal industry. In Houston, TX, members of Rainforest Action Network released a banner in a downtown branch of Bank of America. The banner said “Bank of America STOP funding mountain top removal” and was held in the air by over two dozen helium-filled balloons. Bank security was unable to remove the banner, which remained there until the balloons lost their helium. Blue Ridge Earth First! debuted with three actions in Virginia that targeted Bank of America. In Blacksburg, BREF! dropped a banner on Virginia Tech’s campus shortly before lunchtime and, in the afternoon, protested at the Blacksburg Bank of America Branch. October 23, 2007: Rainforest Action Network banner hang at Bank of America corporate headquarters in Charlotte, NC On October 23, four activists with Rainforest Action Network, scale a 15 story crane across the street from Bank of America's corporate headquarters in downtown Charlotte. Reading "Bank of America:Funding Coal, Killing Communities" the banner hang protested the bank's funding of mountaintop removal and new coal plant development. The banner hang disrupted traffic for several blocks until police and firefighters brought down the activists. All four were arrested. Nov. 15, 2007: Rainforest Action Network day of action against coal finance On November 15, 2007, Rainforest Action Network activists - acting together with allies from Coal River Mountain Watch, Appalachian Voices, Rising Tide North America, Mountain Justice Summer, Student Environmental Action Coalition, and Energy Justice Network - staged dozens of actions against Citibank and Bank of America branches in cities across the county, in protest of those two companies' refusal to stop funding new coal power plant development and coal mountaintop removal mining. In San Francisco, RAN activists attached caution tape - reading "Global Warming Crime Scene" - to dozens of Bank of America and Citibank ATMs, and held "cough-ins" in several branches. Similar ATM closure actions were held in New York City, Davis (CA), Los Angeles, Portland (OR), and St. Petersburg (FL), while protests against the two companies were held in numerous other cities.Thousands Take to the Streets to Protest Citi and Bank of America’s Coal Investments, Rainforest Action Network press release, November 16, 2007. For photos, see RAN's Flickr page. December 15, 2007: Blue Ridge Earth First! Coal Carolers bring the holiday spirit to Bank of America Santa Claus brought a sack of coal to a Charlottesville, VA Bank of America branch, while Earth First! Coal Carolers sang carols that had been rewritten to disparage coal. Meanwhile, other EF!-ers spoke to customers and handed out flyers. December 18, 2007: Earth First! Carolers visit Charlottesville Bank of America Activists with Blue Ridge Earth First! demonstrated at the Bank of America branch in Charlottesville to tell bank management "Divest from Coal. Invest in Clean Energy." As carolers sang coal-themed versions of Christmas classics such as “I'm Having Nightmares of a Coal Christmas” to the tune of “I'm Dreaming of A White Christmas,” Santa again delivered a sack of coal to the bank, checking off the naughtiest corporation on his list. December 22 & 23, 2007: Blue Ridge Earth First! Carolers visit Bank of America The Blue Ridge Earth First! Coal Carolers paid two more visits to Bank of America in Charlottesville, VA before Christmas. April 1, 2008: Rising Tide/Rainforest Action Network blockade of Boston Bank of America branch On April 1, 2008, as part of the Fossil Fools International Day of Action, four activists used lockboxes to block the entrance to a Bank of America branch in Boston, in protest of BofA's investments in coal mountaintop removal mining and new coal power plant development. Others held banners and signs in support of the action, which was organized by Rising Tide North America and Rainforest Action Network. Police used saws to cut through the lockboxes, and arrested the four blockaders."An April Fools Protest", Boston Globe, April 1, 2008."Activists Blockade Bank of America to Protest Funding of Coal, Boston", Fossil Fools Day blog, April 1, 2008. June 26, 2008: Activists Demonstrate Outside Bank of America Headquarters On June 26, 2008, activists from Rainforest Action Network demonstrated outside Bank of America's Charlotte, NC headquarters, carrying a banner that read "Divest from Coal!" The group distributed fliers on the bank's investments in the coal industry to employees and local residents. Police were on hand, but no one was arrested."Bank of America's Coal Investments Revisited", The Understory, June 26, 2008. August 11, 2008: Southeast Convergence for Climate Action locks-down at Bank of America, Richmond VA On August 11, 2008, 50 activists began marching at Monroe Park around noon and made stops at the offices of coal mining giant, Massey Energy, Virginia Department of Environmental Quality, Dominion Virginia Power, and ended at Bank of America, a major funder of coal.Rainforest Action Network website, accessed 8/12/2008 Two activists were arrested after locking themselves to a Bank of America sign. The march and lock-down was the culmination of a week of environmental and climate justice training, networking and strategizing at the Southeast Convergence for Climate Action. The march included jesters, people holding larger-than-life puppets, banners and signs to raise awareness about the climate crisis.50 protesters urge energy regulation Richmond Times-Dispatch, August 11, 2008SE Convergence locks down at Richmond Bank of America It's Getting Hot in Here, August 11, 2008 September 15, 2008: Rainforest Action Network disrupts investors’ conference presentation In San Francisco, activists with the Rainforest Action Network infiltrated Dominion CEO Thomas F. Farrell II’s presentation at Bank of America’s Annual Investment Conference. Farrell’s PowerPoint presentation was replaced with a slideshow of a protest at the Wise County Plant in Virginia, which had taken place earlier that day.“Dominion CEO Punk’d!”, Rainforest Action Network’s Understory blog, September 15, 2008. November 13, 2008: Everglades Earth First! crashes Bank of America’s Energy Conference Everglades Earth First! and Rainforest Action Network gave a presentation via megaphone at a cocktail party for Bank of America’s Energy Conference at the Ritz-Carlton Hotel in Miami, FL. The presentation outlined why the Bank should “move away from dirty energy and toward better energy solutions.” A group of conference-goers attacked the group, trying to wrestle banners away from protesters and pouring beer on them. No one was arrested, but the next day two protesters who returned to hand out information were detained by hotel security and police and received a trespassing warning.Annie, “A crazy kick-off for Day of Action against Coal Finance”, Rainforest Action Network Understory website, November 13, 2008. November 14, 2008: Rising Tide Boston helps banks market “Green Coal” Rising Tide Boston set up “Green Coal” marketing tables outside branches of Bank of America and Citibank to highlight these banks high-risk investments in coal power and mining. Emulating the coal industry’s marketing pitch of “clean coal”, activists handed out samples of “green coal” while informing fellow citizens not to expect “green coal” to be clean, safe, or affordable. Rising Tide Boston held this event as part of the Day of Action Against Coal Finance, joining over 50 cities across the country to protest Citi and Bank of America’s investments in the coal industry.“Rising Tide helps banks market “Green Coal”, Rising Tide Boston website, November 14, 2008. March of Crimes campaign March of Crimes. Bank of America is a corporate donor to March of Dimes. March of Crimes Put Your Money Where Your Mouth Is, PETA, accessed February 2009 March of Dimes has funneled millions into cruel and useless animal testing experiments on primates, rats, mice, cats, dogs, rabbits, pigs, sheep, guinea pigs, opossums. Experiments include: nicotine, alcohol and cocaine addiction experiments; sensory deprivation experiments and transplanting organs from one species of animal to another. March of Crimes Facts, People for the Ethical Treatment of Animals, accessed February 2009 According to People for the Ethical Treatment of Animals: Both animals and human babies are the losers, because every dollar spent to harm these animals is a dollar that could have—and should have—been used to help people. March of Crimes March of Dimes, PETA, accessed January 2009 Slavery lawsuit In March 2002, FleetBoston along with insurance company Aetna and railroad company CSX Transportation were named in a lawsuit filed in U.S. District Court in New York "seeking damages for abuses suffered by slaves and accusing the companies of profiting from slavery". FleetBoston traces its roots back to a bank started by John Brown, a notorious Rhode Island slave trader. "FleetBoston named in lawsuit seeking reparations for slavery", Associated Press, March 26, 2002. Ad boycott against Air America Radio Bank of America refused to advertise on the progressive Air America Radio. In October 2006, around 90 companies, including Bank of America, told ABC Radio Networks that they did not want their ads to play on radio stations that carried Air America Radio. Marc Fisher, "Air America, in the Throes of Victory?", The Washington Post, December 10, 2006. "Air America on Ad Blacklist?", FAIR, October 31, 2006. "Air America Blackout", FAIR.org/ABC memo, October 25, 2006. Political contributions James H. Hance Jr., then Vice Chair of Bank of America, was a Bush Ranger having raised at least $200,000 for Bush in the 2004 presidential election. Two more Bush Rangers in the top leadership were Charles M. Cawley, Ex-Chief Executive Officer of MBNA and Lance Loring Weaver, Executive Vice Chair of MBNA. Pioneers and Rangers, Texans for Public Justice, accessed August 2007. Bank of America gave $1,167,222 to federal candidates in the 05/06 election period through its three political action committees - 34% to Democrats, 65% to Republicans, and 1% to other parties. PAC #C00043489, Open Secrets, accessed July 2007. PAC #C00252866, Open Secrets, accessed July 2007. PAC #C00364778, Open Secrets, accessed July 2007. Lobbying The company spent $3,366,014 for lobbying in 2006. $1,380,000 went to eight outside lobbying firms with the remainder being spent using in-house lobbyists. Lobbying firms included Quinn Gillespie & Associates and Covington & Burling. Bank of America lobbying expenses, Open Secrets, accessed October 2007. Personnel Key executives and 2006 pay: Bank of America Key Executives, Yahoo Finance, accessed October 2007. Options exercised Kenneth D. Lewis, Chairman and Chief Executive Officer $8,000,000 $77,040,000 Barbara J. Desoer, Chief Operations Officer $4,380,000 $582,000 R. Eugene Taylor, Vice Chairman $4,470,000 $3,260,000 Amy Woods Brinkley, Global Risk Executive $4,250,000 $3,510,000 Brian Moynihan, President of Global Wealth & Investment Management $3,750,000 $953,000 Selected board members: Directors, Bank of America, accessed August 2007. *Gary L. Countryman, Chairman Emeritus, Liberty Mutual Group *Tommy R. Franks, Retired General, United States Army *Thomas M. Ryan, President and Chief Executive Officer of CVS Caremark Corporation *Robert L. Tillman, Chairman and CEO Emeritus, Lowe's Companies, Inc. Contact details 100 N. Tryon Street Charlotte, NC 28255 Phone: 704-386-5681 Fax: 704-386-6699 Web: http://www.bankofamerica.com Resources Related SourceWatch articles *Bank *People for the Ethical Treatment of Animals *March of Dimes *Animal testing] References External resources *"Profile: Bank of America", Co-op America, accessed December 2007. Category:Banking industryCategory:CorporationsCategory:United StatesCategory:Energy financingCategory: Environment Category: Global warming Category: Animal testing